JA Solar IPO Soars 30% in First Day Trading

By Yung Kim

NEW YORK (Reuters) - Stock of China's JA Solar Holdings Co. Ltd. , a maker of solar cells, rose as much as 30 percent in its U.S. market debut on Wednesday, boosted by a sunny outlook for alternative energy, analysts said.

The American Depository shares of JA Solar opened up 27 percent at $19.06 and rose as much as 30 percent to $19.50 on Nasdaq. Share prices slipped in late trading, closing at $17.80, a rise of 18.7 percent.

Each ADS represents three common shares, according to documents filed with the U.S. Securities and Exchange Commission.

The company joins a burst of alternative energy offerings, still in the early stages of their development, said Argus Research analyst Kevin Calabrese.

Aided by improved technology, costs for manufacturing and use are subsiding as pressure mounts to reduce dependence on fossil fuels, Calabrese said.

"All of the solar cell manufacturers have been very hot," Calabrese said. "This is one that came out at a good price and at the right time."

Chinese solar companies in particular have capitalized on the trend with listings in the United States, analysts said...read more